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DCF valuation

What is Carvana Co. worth?

With the base-case assumptions below, a discounted cash flow model on Carvana Co.'s reported free cash flow gives $119.62 per share. The share price was $65.06 on September 25, 2026, 46% below that value.

Inputs from the filings

Free cash flow, fiscal 2025
$889M
Average free cash flow, last 5 years
-$511M
Cash
$2.63B
balance sheet of June 30, 2026
Debt
$5.17B
balance sheet of June 30, 2026
Diluted shares, fiscal 2025
224,277,000
Revenue growth per year, last 5 years
29.5%

Three sets of assumptions

CaseGrowth yrs 1-5Growth yrs 6-10After year 10Discount rateValue per shareValue vs price
Bear10.0%6.0%2.0%10.0%$68.23+5%
Base15.0%9.0%2.5%9.0%$119.62+84%
Bull20.0%11.5%3.0%8.0%$215.31+231%

Sensitivity: base case value per share

Discount rate down the side, growth after year 10 across the top. Everything else as in the base case.

1.5%2.0%2.5%3.0%3.5%
7.0%$158.53$170.66$185.49$204.03$227.86
8.0%$129.30$137.17$146.47$157.63$171.26
9.0%$108.04$113.42$119.62$126.87$135.42
10.0%$91.91$95.74$100.07$105.03$110.75
11.0%$79.30$82.10$85.23$88.76$92.76

Where the presets come from

Base: years 1 to 5 grow at Carvana Co.'s revenue growth rate over the last 5 fiscal years (29.5% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.

Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.

Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.

This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.

Adjust the assumptions

Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.

Adjust the assumptions

Carvana Co. company page